Standard Chartered Bank on Friday cut its oil price forecast for 2015, mainly on the price undershoot in the first quarter and expectations of a slightly more cautious policy stance by Saudi Arabia.

The bank slashed its 2015 average Brent price forecast by $9 to $76 per barrel, but kept its 2016 price outlook unchanged at $100.

OPEC (Organization of the Petroleum Exporting Countries) producer Saudi Arabia, a key driver of the 12-country producer group's policy, has moved away from short-term price defense, unlike its response to low price cycles in the past, the bank said in a note.

Production from Saudi Arabia is rising, and demand has pushed it up to about 10 million barrels per day, according to energy consultancy PIRA.

The bank saw WTI averaging $67 per barrel in 2015 and $93 in 2016.

"While there is still scope for WTI prices to dislocate well below Brent as the H1 global surplus appears to be entirely confined to the U.S., in Brent terms the cycle appears to have bottomed," analysts led by Paul Horsnell said in the note, adding that U.S. shale growth was about to "pause."

Oversupply is likely to keep a lid on oil over the next few months, and prices could retreat a little in the short term, a Reuters poll showed.

Brent crude rose on Friday by $2.53 to $62.58 a barrel, while U.S. crude rose $1.59 to settle at $49.76 per barrel.

Source: www.reuters.com

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